Infrastructure & Cities

Hopes and doubts

February 21, 2016

Asia

February 21, 2016

Asia
Kevin Plumberg

Contributor

Kevin was a member of The Economist Intelligence Unit’s Thought Leadership team in North America and is based in San Francisco. From 2014-2017, he was based in The Economist’s Singapore office and led multi-year integrated content programmes such as Growth Crossings, a series about the new rules of global trade, and the Producers of Tomorrow, an initiative about the future of manufacturing. Prior to joining the EIU, he spent two years as Vice President, Institutional Marketing at BlackRock, the world’s largest asset management company. In that role, he produced and edited white papers, website articles and newsletters aimed at some of Asia’s biggest institutional investors. Kevin also spent 10 years as a journalist covering financial markets, economics and policy for Reuters in Singapore, Hong Kong and New York. As a correspondent and editor, he covered the global financial crisis from Wall Street and its aftermath in Asia, where he led market-moving coverage of the region’s economic policymakers.

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Perspectives on the long road to Indonesia's economic development

Emerging markets globally have encountered slower growth and increased volatility of their currencies, but investors have reasons to be concerned in Indonesia. 

In politics, high hopes are nearly always trailed by crushing disappointment. Indeed, it seems fair to characterise the first year in office of Indonesia’s president, Joko Widodo, as disappointing. Since his administration began in October 2014, Jokowi, as he is known locally, has presided over average economic growth of less than 5% year on year, below Indonesia’s ten-year annual average of 5.9%, and a slump in the value of the rupiah to less than its level during the 1997–1998 Asian financial crisis.

Economic stimulus in the form of increased government expenditure on public works and services has stalled. Protectionist policies from the era of previous president, Susilo Bambang Yudhoyono, have continued. The tragic attacks in January 2016 urgently added security to the number of issues on the policy agenda, though the ultimate implications are far from clear for now. 

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Hopes and doubts: Perspectives on the long road to Indonesia's economic development" is a report produced by The Economist Intelligence Unit to bring insights on Indonesia’s political as well as economic changes since Jokowi. It is timed to coincide with the  by the Economist Events. 

 

Fifteen months into Jokowi’s term, the  will review the new government’s progress and examine the areas still in urgent need of reform. Will 2016 be a year of change for Indonesia? We will bring together more than 180 policymakers and business leaders for a day of debate and high-level discussion about the issues that matter most to business. 
 
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